Hedge funder Scott Bommer, founder of SAB Capital, is "in contract to sell" three properties in the Hamptons' Lily Pond Lane for a total of $110 million in an off-market deal.
According to the New York Post, the homes were the second-most expensive purchase in the Hamptons, following activist investor Barry Rosenstein's purchase of an 18-acre East Hampton property for $147 million.
Not only that, but if Bommer's sale of the Lily Pond Lane homes actually close, it will be the country's fifth most expensive residential purchase. Ed Petrie of Compass was responsible for brokering the deal.
Bommer first bought the three properties - 93 Lily Pond Lane, 101 Lily Pond Lane, and 97 Lily Pond Lane - in 2014 for $93.9 million. All properties, including 284 feet of oceanfront, are on 6.4 acres.
As it turns out, the properties also include a 4,500-square foot, five-bedroom, one-story home, which was built in 1914 with the traditional shingled style of the Hamptons.
Bommer recently decided to give back most of his investors' money earlier this month, after 17 years, to divert his attention in investing in his own wealth. By the end of 2014, Bommer had $1.1 billion in assets. Perhaps the decision to sell his Hamptons properties is part of that effort.
Three other funds, such as Fortress Investment Group, BlackRock Inc ., and LionEye Capital, have also announced similar plans to that of Bommer's.
Billionaire hedge funder David Tepper was first rumored to be a buyer of the three Hampton properties, but later denied the purchase. Sources claim that Tepper loved the land, but hated the "mob-style" main home.
Apparently, New East End laws that hinder buyers' rights to demolish existing homes to build massive complexes have kept potential buyers from closing deals, which was probably the case for Tepper.
Tepper made headlines back in 2011 for purchasing a $43.5 million beach house, which was previously owned by his former Goldman Sachs boss, Jon Corzine. He later demolished the property to build something much larger.